Life insurance is an important component for your financial plan. If
you are applying for a cover, it is always important to tell the truth.
If you fail to disclose all the relevant facts and then consider making a
claim, the life insurance company is likely to undertake
investigations, deny the claims and cancel the policy. The factors to
consider when choosing insurance for people over 65 include:
Need for the policy
You
will need to determine whether you need an affordable life insurance
for people over 65. You get to purchase the cover if you want to protect
the people you are likely to leave behind. If you have people who
depend on you financially such as a spouse or children, it is very
important to consider taking up an insurance policy.
Type of insurance
Once
you have made the decision to apply for insurance, it is important to
determine the type of policy that suits your needs. The two main types
of covers are the whole life and the term life covers. The term life
insurance covers a stipulated period ranging from 5 to 30 years; you can
also apply for an annual life insurance cover. Once the term expires,
the policyholder will be in a position to access the benefits. If the
policyholder dies before the term has expired, the named beneficiaries
will be able to receive the benefits. On the other hand, the whole life
policy combines the term policies as well as an investment product that
helps to build up cash value.
Policy that meets your needs
It
is important to choose a policy that meets your needs. You may need to
choose a policy that will be in a position to last for the time you have
dependents. Therefore, to make the right decision, you may need to
consult with your advisers who are in a better position to advise the
way forward.
Policy that you can afford
It
is important to choose a policy that you can afford. However, as you
take in account the affordability it is important to avoid choosing a
policy that leaves you under insured. Considering that whole life cover
is normally more expensive when compared to the term life cover, many of
the insurance shoppers often purchase whole life policy that is too
little.
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